ITC Ltd reports higher profits led by cigarette sales

Feb.07.2023

ITC Ltd reports higher-than-expected profits buoyed by strong cigarette sales and stable demand for packaged foods in India.

On Friday, ITC Ltd, a conglomerate in India, announced its quarterly profits which exceeded expectations due to strong cigarette sales, as well as stable demand for its packaged food products.

The business conglomerate, which operates in the tobacco and hotel industries, has announced a rise in profits for the October-December quarter. The profits have increased from 41.56 billion rupees to 50.31 billion rupees ($614 million) compared to the same period last year.

According to Refinitiv IBES, analysts predict that profits will increase to INR 47.44 billion (USD 573 million) on average.

ITC, which owns numerous brands including Sunfeast and Classmate, stated in a declaration that consumer sentiment has improved this quarter.

As commodity inflation continues to slow down, economic activity in India is gaining momentum.

ITC's overall operating revenue has increased by approximately 3%, reaching INR 172.65 billion ($2.08 billion), with over 40% of that coming from its cigarette business.

This business possesses the Classic and Gold Flake brands, with revenue growth of nearly 17% to 72.88 billion rupees.

This week in India, the cigarette industry is facing challenges in the wake of a potential 16% increase in taxes due to it being considered a national disaster. Some analysts believe that this could result in a "moderate" 1.5% increase in taxes. Others suggest that ITC should respond by raising prices.

ITC's fast-moving consumer goods (FMCG) business, which includes a combination of biscuits, noodles, snacks, and dairy products, has reported an 18% growth in revenue. The company plans to acquire Sproutlife Foods, the maker of Yoga Bars, to expand its nutrition-led health food business.

#Asia #Market #Japan #May data #Report

This document has been generated through artificial intelligence translation and is provided solely for the purposes of industry discourse and learning. Please note that the intellectual property rights of the content belong to the original media source or author. Owing to certain limitations in the translation process, there may be discrepancies between the translated text and the original content. We recommend referring to the original source for complete accuracy. In case of any inaccuracies, we invite you to reach out to us with corrections. If you believe any content has infringed upon your rights, please contact us immediately for its removal.

Product | OXVA launches Artio 2 liquid-tobacco pod device, positioned as distinct from HNB and traditional flavored e-cigarettes

OXVA has released its Artio 2 pod device featuring the Liquid Tobacco Intelligent (LTI) platform. It offers around 400 puffs per charge, pods equivalent to about 35 cigarettes, five tobacco and shisha flavors, and a 900mAh battery with 30-minute fast charging. The company positions the device as distinct from HNB and traditional flavored e-cigarettes.

Nov.27 by 2FIRSTS.ai

5th Circuit Reviews FDA’s Compliance on Small-Business Impact of Vape Rule

A Fifth Circuit panel expressed doubts about whether the U.S. Food and Drug Administration complied with the Regulatory Flexibility Act when issuing its 2021 final rule on premarket tobacco product applications. Vape companies argued the FDA relied on outdated and inaccurate economic data, while the government said the challenged requirements stem from the Tobacco Control Act.

Dec.03 by 2FIRSTS.ai

BAT expands facial age-estimation checks: over 600 stores covered in Europe, targeting 1,000 by year-end

BAT has partnered with the Channel Islands Co-operative Society and Yoti to pilot facial age estimation in 10 Coop stores across Jersey. Customers scan a QR code and take a selfie; the system instantly deletes the image and returns only a yes/no against a minimum age threshold (set at 20) for the pilot. BAT already uses Yoti in 600+ stores across Europe and plans to reach 1,000 by year-end.

Oct.22 by 2FIRSTS.ai

BAT Malaysia Reports Q3 Results: Net Profit Plummets 89.5%, Stock Price Drops 15%

BAT Malaysia's Q3 results show a sharp 89.5% drop in net profit to RM7 million (approximately $150,000 USD), with revenue also falling to RM300 million (approximately $6.4 million USD). The company attributed the decline to new regulatory requirements, including pictorial health warnings and the retail display ban. Its stock dropped 15.25% to RM4.78 (approximately $1.02 USD).

Oct.31 by 2FIRSTS.ai